European stocks rallied on speculation the Fed will keep interest rates low amid concerns about slower global growth. The ESTX 50 (+0.86%), UK Markets (+0.79%), CAC 40 (+0.76%) and the Dax (+1.16%) all posted gains in early trading. Norsk Hydro ASA climbed +3.7% after US peer Alcoa Inc reported its highest earnings in three years. Solvay SA rose +2.8% after confirming its profit growth target for 2014. Red Electrica Corp added +1.4% after HSBC Holdings raised its rating on the stock to “neutral” from “sell”. Suedzucker AG declined -1.1% after the saying third quarter operating profit will be sharply lower than last year. Hays Plc added +5.5% after reporting a 4% increase in net fees for the first quarter, led by UK and Ireland.
US stocks rallied after the Federal Reserve hinted that interest rates will stay near to zero. The Dow Jones Industrial Average (+1.64%), S&P 500 (+1.75%) and the Nasdaq Composite (+1.90%) all increased. Costco Wholesale Corp gained +2.8% after saying profit topped forecasts. Merck & Co and UnitedHealth Group both jumped +2.9% to pace gains in the Dow. Alcoa Inc rose +1.6% in New York after reporting profit that topped analysts’ estimates. Yum! Brands Inc gained +1.5% after adjusted profit in the last quarter topped estimates. Symantec gained +3.5% after it was reported that the company is in advanced talks to break up its business in two entities, one offering security programs and another focusing on data storage. Monsanto Co climbed +1.8% despite forecasting fiscal 2015 earnings that trailed analysts’ expectations as tumbling grain prices leave farmers with less to spend.
Asian stocks rose as Federal Reserve concerns over a global economic slowdown increased sentiment that US interest rates will remain low. The Hang Seng (+1.00%) and the S&P/ASX 200 (+1.06%) both increased, while the Nikkei 225 (-0.75%) decreased. Aluminium Corporation of China Ltd increased +2.4% after Alcoa Inc’s profit beat estimates. Great Wall Motor Co rose +4.1% after September sales increased from the previous month. Techtronic Industries Co, a company that gets most of its sales from North America, advanced +2.2%. Skylark Co sank -4.8% on its latest trading debut after raising 66.8 billion yen in a share sale. Screen Holdings Co declined -1.7% as Credit Suisse Group cut its rating on the company to “neutral” from “outperform”. Japan Display dropped -5.3% after its rating was reduced to “neutral” at Mitsubishi UFJ Morgan Stanley. Fast Retailing climbed +1.5% after reporting that it expects net income to rise 34% to 100 billion yen in the current fiscal year.
Morning Spread 8th March 2017 European shares traded flat this morning, the modest moves masking significant results driven games by several companies on a bust day for European earnings.
Morning Spread 2nd November 2016 Asian stocks followed global equities lower despite gauges of manufacturing in China topping estimates and the Bank of Japan maintained its record stimulus program.
Morning Spread 1st November 2016 Asian stocks were mixed as declines in oil prices dragged energy shares lower and investor anxiety grew over next week’s US presidential election.
Morning Spread 28th October 2016 Asian stocks fell as oil explorers pushed down Hong Kong gauges, while investors digested earnings from several companies.
Morning Spread 27th October 2016 US stocks were mixed following the release of earnings from several companies.
Morning Spread 24th October 2016 US stocks were little changed as a record day for Microsoft and earnings from McDonald’s helped offset a fall in energy and healthcare shares.
Morning Spread 19th October 2016 Asian shares rose as a barrage of Chinese data confirmed the economy had stabilised on the back of government spending and a hot housing market, even if worries about debt continue to mount.
Morning Spread 10th October 2016 Asian stocks were mixed following the second US presidential debate between Hilary Clinton and Donald Trump.
Morning Spread 5th October 2016 Most Asian stocks outside Japan slid on concern central banks will reduce stimulus, while the Nikkei climbed after the yen weakened.
Morning Spread 27th September 2016 Asian stocks advanced with investors viewing Democratic candidate Hillary Clinton as having gotten the upper hand in the first US presidential debate.